In the heart of Wellington, just minutes from Cuba Street and with sweeping views over the harbour, a two-bedroom apartment recently changed hands for the symbolic sum of $1.
No, that’s not a typo.
The sale was legal, final, and quietly registered earlier this year — but the real story is what happened behind closed doors.
Because this wasn’t just a housing deal. It was a rescue.
A building with a hidden problem
The apartment sits inside a once-premium development on Taranaki Street, built in the early 2000s during Wellington’s apartment boom.
On paper, the property should have fetched over $700,000 — comparable units nearby are still listed above that mark.
But there was one problem: the building is leaky.
And not just slightly. Engineers have identified long-term water damage, weakened structural elements, and the need for full recladding — a remediation project estimated at over $25 million for the building as a whole.
For owners, that means special levies of $150,000 to $250,000 per apartment, depending on size.
A desperate exit
According to records from someone close to the body corporate, the previous owner of the $1 apartment was an older resident who had already spent tens of thousands on repairs over the years — and simply couldn’t afford to pay again.
The unit had been on the market for months. No bites. Even at $100,000, buyers walked away once they saw the building report.
In the end, she handed it over for $1 — to a family member, with an agreement that they’d take on the repair costs and hold the property until values (hopefully) recover.
It was, effectively, a gift wrapped in debt.
How does this happen?
Leaky buildings — mostly constructed between the 1990s and early 2000s — are still haunting many New Zealand cities.
The combination of poor materials, failed cladding systems, and lax regulations created thousands of units with invisible, devastating problems.
In Wellington, dozens of apartment buildings are either under remediation or completely unsellable, with owners stuck and insurance premiums rising.
“People see central apartments and assume value,” says a local agent. “But some of them are financial traps. The price tag doesn’t tell the whole story.”
So was it a bargain?
Not really.
The new owner will likely have to contribute at least $180,000 over the next 12–18 months to keep the unit compliant and liveable.
Renting it out isn’t an option until code issues are resolved. Selling it again? Near impossible, unless the building is fixed — and even then, stigma lingers.
A warning to other buyers
Experts say this sale is a cautionary tale.
Always ask for full body corporate minutes. Get the weathertightness report. Ask about levies — current and proposed.
Because in New Zealand’s most expensive cities, even a $1 apartment can cost you everything.
